Focus Of The Final Paper: Globalization Or Internationalizat

Focus Of The Final Paperthe Globalization Or Internationalization Of

Focus of the Final Paper The globalization, or internationalization, of the marketplace has become one of the defining events of our time. The pressure to produce a good or service while controlling costs and maintaining quality has profoundly affected the manufacture, distribution, and sale of a good or service. In your final project, assume you are a high-level manager of a company that produces a good or service solely in the United States. You strongly believe there is a profitable market for your company’s good or service beyond the United States and have requested the board of director consider broadening production and distribution into foreign countries. This would transform your organization into a multinational company.

The board has requested that you develop a strategic plan that creates, exploits, and sustains the company’s resources and capabilities within the globally competitive international marketplace. The strategic plan should be designed to offer a systematic, step-by-step method to bring understanding to what often seems a chaotic situation and to offer a reasoned approach to deciding on a path to sustained advantage. The course textbook provides an outline of a detailed strategic plan applicable to a multinational company. You may utilize this approach or may create or modify a strategic plan that better addresses your particular need or requirement. At a minimum, though, your strategic plan should address the following:

• The mission and goal of your organization, including the product or service to be produced and distributed internationally.
• An environmental analysis, identifying the organization’s resources and capabilities, and analyzing the external competitive and economic environment, including the impact of globalization in your industry and the economic landscape.
• The organization’s international competitive advantage—what it does better than competitors to generate value, whether through lower costs or superior products.
• The preferred method for entering the international marketplace, including options like licensing, alliances, wholly-owned subsidiaries, joint ventures, or partnerships, with a rationale for the choice.
• The implementation of the strategic plan, covering control, coordination, communication, and contingency plans in case goals are not met within expected timeframes.

A good strategic plan should serve as a solid foundation yet remain flexible to adapt to new opportunities or discard unviable strategies. Some information may require additional research on current management trends. The final submission must be 8–10 double-spaced pages, formatted in APA style, including a title page, introduction with a thesis statement, body with critical analysis, and a conclusion reaffirming the thesis. At least five scholarly sources are required, including two from the Ashford Online Library, all cited in APA format. A separate references page must follow APA guidelines.

Paper For Above instruction

In the context of an increasingly interconnected global economy, the decision to internationalize a domestic company requires meticulous strategic planning. As a high-level manager contemplating the expansion of a US-based company's products or services into foreign markets, developing a comprehensive strategic plan is essential for sustainable competitive advantage. This paper outlines such a plan, emphasizing the importance of defining mission and goals, conducting environmental analysis, determining competitive advantage, choosing entry strategies, and implementing the plan with flexibility for adaptation.

Introduction and Thesis Statement

The rapid progression of globalization has transformed traditional business models, compelling organizations to expand beyond national borders to capitalize on new growth opportunities. This paper argues that a carefully crafted strategic plan, incorporating environment scanning, competitive advantage identification, suitable entry modes, and adaptable implementation strategies, is crucial for successful internationalization. Such a plan enables a firm to navigate the complexities of the global marketplace, achieve sustainable advantages, and respond effectively to unexpected challenges.

Defining Mission and Goals

The foundation of an effective international strategy begins with clearly articulated mission and goals. For example, if the selected product is a line of environmentally friendly lawn mowers, the mission might encompass delivering high-quality, energy-efficient gardening equipment globally. The goals should include specific targets such as entering three new international markets within two years, establishing local distribution channels, and achieving a set revenue milestone. These objectives align the organization’s strategic direction with its core competencies and market aspirations, providing a clear focus for subsequent planning steps (Porter, 1985).

Environmental Analysis

Environmental analysis involves understanding both internal resources and external market conditions. Internally, the organization must evaluate its core competencies, technological capabilities, financial resources, and organizational culture. Externally, the analysis includes assessing the competitive landscape, regulatory environment, cultural differences, and economic conditions in target markets. The impact of globalization in the industry is profound, often leading to increased competition but also providing access to larger markets and diverse resources (Ricks & Marvin, 2020). For instance, the diffusion of advanced manufacturing technologies reduces costs and levels the playing field among competitors worldwide.

Determining Competitive Advantage

Identifying a unique competitive advantage is vital. For a lawn mower company, this might manifest as superior energy efficiency, innovative design, or exceptional after-sales service. A sustainable advantage could also involve establishing a brand recognized for eco-friendliness or affordability across multiple markets. Achieving this depends on leveraging internal strengths—such as proprietary technology or efficient supply chains—and tailoring them to meet specific market needs. Porter’s (1985) generic strategies—cost leadership, differentiation, or focus—serve as useful frameworks for positioning the company effectively in global markets.

Entry Strategy Selection

The choice of entry mode significantly influences subsequent operations and resource commitments. Common options include exporting, licensing, joint ventures, wholly-owned subsidiaries, or strategic alliances. For a company seeking control and protecting proprietary technology, establishing a wholly-owned subsidiary may be preferable, despite higher initial costs (Hollensen, 2015). Conversely, licensing or alliances might reduce risk and investment but limit control. The rationale for the selected method should weigh factors like market familiarity, political stability, investment capacity, and strategic objectives. For example, entering via joint venture in countries with complex regulatory environments can facilitate local adaptation and accelerate market penetration.

Implementation and Flexibility

Implementing the strategic plan demands a robust framework for control, coordination, and communication. Setting performance metrics, establishing oversight committees, and fostering effective communication channels are critical. Moreover, contingency plans should anticipate potential setbacks—such as regulatory changes, cultural misalignments, or logistical issues—and specify alternative strategies, including diversification of markets or operational adjustments. Flexibility in execution allows the organization to adapt rapidly, seize emergent opportunities, or abandon unprofitable initiatives, thereby enhancing resilience (Doz & Hamel, 1998).

Conclusion

In conclusion, globalization offers substantial opportunities for growth but also presents complex challenges that necessitate strategic foresight. A comprehensive, adaptable strategic plan that encompasses mission clarity, environmental analysis, competitive advantage, appropriate entry modes, and flexible implementation forms the backbone of successful international expansion. By systematically addressing each of these components, organizations can position themselves for sustained success in the dynamic, competitive international marketplace.

References

• Doz, Y. L., & Hamel, G. (1998). Alliance advantage: The art of creating value through partnering. Harvard Business Review Press.
• Hollensen, S. (2015). Marketing management: A relationship approach. Pearson.
• Porter, M. E. (1985). Competitive advantage: Creating and sustaining superior performance. Free Press.
• Ricks, D., & Marvin, S. (2020). International business: The challenges of globalization. Routledge.
• Rothaermel, F. T. (2021). Strategic management: Concepts and cases. McGraw-Hill Education.
• Hill, C. W., & Hitt, M. A. (2017). Strategic management: Theory: An integrated approach. Cengage Learning.
• Ghemawat, P. (2007). Redefining global strategy: Crossing borders in a networked world. Harvard Business School Publishing.
• Keegan, W. J. (2012). Global marketing management. Prentice Hall.
• Yip, G. S. (2003). Total global strategy: Managing across borders. Pearson Education.
• Johansson, J. K. (2014). Global marketing: Foreign entry, local marketing, and global management. McGraw-Hill Education.